OAKLAND, CA January 18, 2000--Increasing demand for Stronghold, the
flagship product of leading secure web server software provider C2Net
Software, Inc., allowed the company to increase 1999 revenues 46% to $3.25
million. Pretax earnings for the combined U.S. and European operations
were $1.25 million, or $0.31 per share on a fully diluted basis.

According to the December 1999 Secure Server Survey published by E-Soft,
Inc. (http://www.e-softinc.com/), C2Net's Stronghold is the global market
leader with a 34.22% share of the secure web server market. The survey
showed that Apache is second in market share with a 31.88% share, and
Microsoft is third with a 20.04% share.

C2Net projects that year 2000 revenues should grow an additional 50%. Much
of the revenue increase will be generated from new services and support
options for Stronghold and new support offerings for the Apache-based web
server market. C2Net Europe Limited is the publisher of the highly
acclaimed newsletter Apache Week, (http://www.apacheweek.com/).

C2Net is a global provider of Stronghold secure web server software. C2Net
products are developed through its international offshore development
programs, allowing the company to offer 128-bit full-strength secure web
server solutions to international customers without restrictions.
Stronghold is available for more than 40 platforms, including several
versions of Linux and most other common UNIX platforms. Additional
information and free evaluation copies are available at http://www.c2.net/